Australian Dollar Remains a Buy until this Changes
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AUDUSD: Retail trader data shows 44.2% of traders are net-long with the ratio of traders short to long at 1.26 to 1. The number of traders net-long is 5.1% lower than yesterday and 1.2% lower from last week, while the number of traders net-short is 5.4% higher than yesterday and 8.0% higher from last week.
We typically take a contrarian view to crowd sentiment, and the fact traders are net-short suggests AUDUSD prices may continue to rise. Traders are further net-short than yesterday and last week, and the combination of current sentiment and recent changes gives us a stronger AUDUSD-bullish contrarian trading bias.
See next article in this week’s report: S&P 500 - S&P Remains Likely to Hit Further Record Highs
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.